We previously reported that around 300 hoteliers in Ahmedabad boycotted bookings from two online portals - Goibibo and Makemytrip from December 1 onwards. The Hoteliers has alleged that the online portals discriminated in offering discounts, which has adversely affected their business. According to the report from News18, booking a hotel in the eastern part of the country through Goibibo and Makemytrip might become difficult. MakeMyTrip, Goibibo Booking Cancelled by Ahmedabad Hoteliers, OYO Rooms to be Next as Associations Plan Nationwide Action.
Hotel owners of 13 states including Bihar, West Bengal and Odisha has decided to boycott Goibibo and MakeMyTrip from January 16, 2019 onwards. However, hotel associations of the other state are yet to make a decision yet, but it is believed that they can take such decision soon. The hotel owners have decided to take such decision after receiving lesser commission and bogged down by more discounts. They are also upset with discounts offered on the online portal as they proffer discounted discounts to the hotel.
The report also highlighted that huge commission is demand by the online portal from the hotel owners. By proffering such discounts, the online companies have managed to pull the customers, but brought hoteliers on their knees. Gujarat Hotel Owners Association President- Narendra Somani mentioned that Goibibo and MakeMyTrip kick-started with a commission of 15 percent, which was a pretty much balanced. But now, there are insisting to give discounts from the pockets of the hotel owners, said Somani. The online portals are trying very hard to eliminate the hotel business by increasing the competition.